Core Lightning v25.02: Enhanced Security, Privacy, and Developer Tools

The Core Lightning (CLN) development team recently announced the release of v25.02, a major update to its lightweight, open-source Lightning Network implementation.

This release introduces critical advancements in security, privacy, and developer flexibility, further solidifying CLN’s position as a leading protocol for bitcoin’s layer-2 payments ecosystem.

Key Features: Empowering Users and Developers

1. Enhanced Security with Self-Sovereign Watchtowers
The update revolutionizes static channel backups by embedding shachain and peer basepoint data, enabling users to generate penalty transactions if a peer attempts to broadcast outdated channel states.

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This effectively transforms every peerstorage node into a decentralized watchtower, eliminating reliance on third-party services for fraud prevention.

2. Privacy Upgrades via Blinded Paths
BOLT12 invoices now support blinded paths, allowing recipients to obscure transaction routes and protect user identities. This strengthens privacy for merchants, donors, and everyday users.

3. Stability for Enterprise Use Cases

• The XPAY plugin receives critical bug fixes, ensuring seamless compatibility for businesses using xpay-handle-pay configurations.
• Improved gRPC and REST API access now includes onion message handling and real-time channel state notifications, enabling enterprise-grade monitoring.

4. Developer-Centric Innovations

• clnrest Plugin (Rust): A new high-performance REST interface optimized for Rust developers.
• Real-Time Monitoring: plugin_started and plugin_stopped notifications streamline debugging.
• BIP353 DNS Support: Simplifies invoice generation for decentralized payment workflows.

Network-Wide Improvements

• Splicing Enhancements: Stricter checks improve interoperability with Eclair nodes, reducing failed transactions.
• Dual-Fund Fixes: Resolved issues preventing fund recovery from force-closed channels using experimental dual funding.

User Experience Upgrades

• Cleaner CLI: lightning-cli now offers intuitive help outputs and no longer crashes on XPAY notifications.
• Dynamic Configuration: setconfig isolates runtime changes to config.setconfig, with a transient=true flag for temporary adjustments.

Why This Matters

With over 20% of Lightning Network nodes running CLN, this update addresses urgent needs:

• Security: Fraudulent channel closures cost users $2.1M in 2024 (BitMEX Research). CLN’s penalty system mitigates this risk.
• Privacy: Blinded paths counter rising chain surveillance tools like Crystal Blockchain.
• Enterprise Adoption: Enhanced APIs and plugins cater to institutions like Kraken and Cash App, which rely on CLN’s modularity.

Community Call to Action

Developers and node operators are encouraged to:

• Test v25.02 on GitHub.
• Participate in the Build On L2 forum.
• Join discussions on X, Telegram, and Discord.

About Core Lightning

Core Lightning (CLN) is a minimalist, highly customizable Lightning Network implementation trusted by developers, enterprises, and node operators worldwide. Built for performance and compliance with BOLT specifications, CLN powers critical infrastructure across the Bitcoin ecosystem. Learn more at corelightning.org.